This article examines the impact of Stree Shakti program in Davangere district of Karnataka. Stree Shakti program was introduced by the Government of Karnataka in the year 2000 with the intent of socio-economic upliftment of poor rural and urban women. Government of Karnataka has given this responsibility to the Department of Women and Child Development (CDPO) to monitor performance of the Self-Help Groups(SHG). We have collected information from CDPO on various action taken by the Government of Karnataka to protect Karnataka SHG and analysis has been done for the SHG performance in the district of Davnagere. A case study of Davangere district reveals that, day by day the SHG is losing its credence and effectiveness due to constraints of various features which could not be incorporated in Stree Shakthi program. The study also formulates certain recommendations that the Government of Karnataka ought to follow for revitalizing the scheme through reworking on SHG features and adding other financial benefits.